EUR 100.00 For Business Accounts Only

IBERIAN DAILY 17 APRIL (ANÁLISIS BANCO SABADELL)

NEWS SUMMARY: CELLNEX, REPSOL.

The earnings season in the US is seeing a strong start
It was a positive week for stock markets at both sides of the Atlantic, where the possibility that the Fed is near the end of rate rises outweighed the fact that the macroeconomic slowdown is apparently materializing. Thus, in the Euro STOXX, the best-performing sectors last week were Real Estate and Banks vs. Telecoms and Household that saw the worst relative performance. On the macro side, in Spain, March’s final inflation ended unchanged at 3.3% YoY and the core data at 7.5% YoY. In the euro zone, several comments made by ECB members are in favour of a possible rate rise of +25bps in May (Centeno), Simkus betting on between +25 and +50, as well as Rehn, whereas Villeroy and Lagarde warn about a possible additional rise but the near would be near. In the US, April’s University of Michigan consumer sentiment index and March’s industrial output climbed above expectations whereas March’s retail sales dropped more than expected. In China, home prices registered the sharpest monthly rise in the past 2 years in March. In the US 1Q’23 Results, Citigroup, Wells Fargo and JP Morgan came in above expectations and BlackRock in line.
What we expect for today
European stock markets would open with slight gains of as much as +0.15%, with the technology sector lagging behind to a greater extent. Currently, S&P futures are up +0.17% (the S&P 500 ended +0.19% higher vs. the European closing bell). Volatility in the US fell (VIX 17.07). Asian markets are rising (China’s CSI 300 +0.8% and Japan’s Nikkei +0.1%).
Today in the US we will learn the Empire Manufacturing index and April’s NHAB index, both for April. In 1Q’23 US business results, M&T Bank, State Street and JB Hunt, among others, will release their earnings.